Research On Legal Regulation Of Securities Insider Trading In China

Insider trading emerges while the securites trading arises and develops.This illegal activity damages the securities market.Although China announced serious regulations to control the insider trading,lots of such activities are not stopped entirely now. This is might be some results to our current law situations,that there are no very accurate definitions for the insider trading.To define what is insider trading or definition for insider trading is a very key precondition to successfully manage it.This research is focus on the the legal regulation of securities insider trading to analysis.Wish to provide some reference for further regulations to help improving the supervision and control on China securities market.However, to be effective against securities insider trading, we must recognize the concept and elements.The concept of insider trading is the one that masters the insider information which do not open and have a major impact on the price of securities,who uses information dealing in securities or the disclosure of inside information or advice to others to engage in securities transactions.Insider trading constituted by three elements,including insider、insider information and insider trading. We also need to identify the three elements so as to estabish a better legal regulation of insider trading.Comparisons upon the definitions among different areas, e.g America、EU、 Japan,to have in-depth comparison and study for the constituent elements of insider trading,to summarize the successful experience in above countries and areas.Securities market in China is formed in the 1990s. We repeatedly modify and improve our laws and regulations,and established administrative,civil,criminal accountability for the trinity system.From the insider trading investigation of cases in recent years can be found,the law of insider trading in the regulation of the existence of recognized standards unclear,incomplete or not relevant laws and regulations supporting inadequate or difficult to implement law enforcement rights,criminal and civil penalties and other defects or problems of small,resulting in cases of insider trading investigation difficult,difficult to identify,investigate single way to investigate long period,the penalty in not timely,not high society deterrence situation.To solve these problems above, some suggestion to consummate the supervisions and controls on insider trading in China securities market is recommended,includeing to consummate the definitions for insider trading,to enhance the monitor and controls for insider trading.The article learned world wide good references and gave some feasible and pratical advice to develop a suitable road for the legal regulation of securities insider trading in China.